QuestionHello, I just had a question about importing a new BMW into Canada. You had mentioned that Towne BMW is an example of a dealership that ignores the franchise agreement that prevents U.S. dealerships from selling to Canadians. I was told that they will only sell me a used one unless I get a U.S. citizen to purchase the vehicle and then transfer it to me. The problem with that is that I would have to pay the NY retail sales tax as well. Do you have a way to get around paying taxes in NY?
AnswerFirst of all, from an article I read recently (I believe it was in USA Today), I got the impression that Towne BMW would sell new cars to Canadian residents. I was incorrect in stating that, and my apologies to Towne BMW.
Secondly, if you're purchasing a vehicle in New York State, and you do not have any residency within the state, then you shouldn't have to pay any sales tax. You'll need a New York State In-Transit Permit, information on which is available through the following link:
http://www.nysdmv.com/register.htm#temporary
Pay close attention to the insurance requirements; NYS is very picky on this. As you read down the link, you'll see it states that only residents of NYS need to pay sales tax. Print it out and take it with you before you go to a NYS Department of Motor Vehicle office, as some offices don't deal with the In-Transit Permit often enough to know all the ins and outs.
